“I mean it’s been said in the newspapers that he was at university. He wasn’t. At the time he was working for William Hague. I remember that vividly because he called William Hague insipid and I didn’t know what the word meant. I do now. So he definitely was in government by then but I think he was getting more and more of a high profile. So there was definitely, there was cocaine on that night on the table. George Osborne did take cocaine on that night. And not just on that night. He took it on a regular basis with me, with his friends. There were more witnesses, not just me, that witnessed George Osborne taking cocaine. So it’s you know, there are other people out there that know the truth. On that particular night he had taken a line. And I said to George jokingly that when you’re prime minister one day I’ll have all the dirty goods on you. And he laughed and took a big fat line of cocaine.”

Other key parts of the interview with Emma Alberici of ABC Australia:

EMMA ALBERICI: Were you friends?

NATALIE ROWE: Me and George?

EMMA ALBERICI: Yes.

NATALIE ROWE: Yeah.

EMMA ALBERICI: And did it ever become more than friendship?

NATALIE ROWE: Yes.

EMMA ALBERICI: What did George Osborne think about your line of work?

NATALIE ROWE: He was very intrigued. What initially happened was is that William and George and Christopher, I’d left them at my apartment. I initially kept it a secret from William. I mean they knew that I had an escort agency but they didn’t know what I did. When I got back they’d found the paddles and the whips, the chains and the handcuffs. But they found it quite amusing.

EXCLUSIVE UPDATE: Though he’s not sure whether tonight’s interview has this detail, Guido understands that Osborne’s “safe word” during kinky paid for sex and cocaine sessions (in case they got out of hand) was “Louise”.

UPDATE II: Mark Lewis is representing Ms. Rowe and puts the boot in suggesting that the News of the World editorial at the time was toned down and Osborne was forever in Coulson’s debt.

MARK LEWIS: The editor at the time was Andy Coulson. And I think that’s worth remembering because of the future relationship that we have between the Conservative Party, the prime minister and Andy Coulson… That editorial could have gone completely the other way. It could have said, for example, whilst we do not believe that George Osborne took drugs he showed a serious error of judgement being at the party or being at the flat where drugs were taken, where there was an allegation of prostitution. He showed that error of judgement and therefore he’s not right to be in the heart of politics. Now the decision on which spin to give to the story by the editor of the News of the World particularly was something that determined his future in politics.

EMMA ALBERICI: You think so?

MARK LEWIS: Undoubtedly so because the editorial could have been written the other way. And if it would have been written the other way it would have finished his career I’m sure.